We can now look at how occupational pension schemes are financed. We cover how the financing of an occupational scheme is set up, the management of pensions contributions and the role of the actuary. We also look at the actuarial valuation report and how benefits are secured.
This section relates to Financing Workplace Pension Schemes and can be found in the relevant pages of the Retirement Provision Certificate Study Manual 2022.
2.Think about it
Many large organisations have announced large deficits in their occupational pension scheme funds.
What do you think the key reasons for these gaps might be?
3. Fact Finding
When setting up the financing of an occupational scheme the trustees and employers will need to seek the advice of an actuary. Can you think of three ways in which you might go about finding an actuary?
You can now check your knowledge by a short test. Once completed then check your answers against those given.